In an MLM business is completely legal to not give the information that is required, but must explain in broad terms what our business proposal and what they offer. We can even invite interested persons to attend free virtual conferences, through and internet, to explain to them what is really our offer. Credit: Nieman Foundation-2011. You can also by a system autorrespondedor, available in our commercial website, explaining step by step what about the business that we offer to our potential partners. If one of those fake businesses do not tell you clearly what you have to do except pay and collect .we are clearly to a pyramidal scam attempt. Kidney Foundation often addresses the matter in his writings. Another type of scam involves is that the false MLM companies sell you a product with the purpose that you sell it to someone else, and this person to another and so on, so on each sale goes increased the price of the commodity.
True multilevel companies sell you their products of which you get a percentage of all direct sales and which are the members of your network. Network Marketing companies legally established may seem to work similarly to the pyramid schemes, there are however large differences between the two forms of understanding business. In a legal company does exist a product or service that can be sold. Earnings you will getting a person who enroll to a multilevel or network marketing comes from commissions directly generated sales and not the number of people who will be recruiting for the business. Do is clearly the main difference between a pyramid and a business online legitimate? Product sales are made in a MLM company.
Depending on the system being used, we can say that sales the Affiliate does not them directly but that his work would be mainly in the promotion and publication of your business. Sales would be an autorrespondedor system that would periodically send letters of sales prospects, explaining the General characteristics of the offered business proposal. This system avoids the possible negative connotations that are they arise in the mind of the member against the rejection or lack of interest of people to our business. The uplines or sponsors and the downlines exist in companies multilevel or sponsored. The uplines receive a Commission on direct sales carried out as well as hints from its affiliates, as we have mentioned in previous paragraphs. It may be the case that if an affiliate works harder than your sponsor, arrive to earn much more money than this. In a pyramidal organization always earn more money that above is within that organization. A person who starts in this type of business can operate independently against the parent company, but always will count with the support and technical training offered this, so there is always a smooth communication between both. Another very important thing to keep in mind when working with a company is to check your history in this type of market and of the same age. The advisable It would be operated with companies that are dedicated to the world of business through the Internet and with an antiquity of at least two years.